2020 Half-year report H1 - Short report - PSP Swiss Property
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2020
Half-year report H1
Short report
2 PSP Swiss Property – Short report H1 2020
Key figures
Key financial figures Unit 2019 Q2 2019 Q2 2020 H1 2019 H1 2020 +/–1
Rental income CHF 1 000 290 460 72 545 72 646 144 985 146 689 1.2 %
EPRA like-for-like change % 1.2 1.9 – 2.2 1.9 – 0.92
Net changes in fair value of
real estate investments CHF 1 000 244 176 104 953 31 366 124 688 31 131
Income from property sales
(inventories) CHF 1 000 12 835 347 484 2 806 1 335
Income from property sales
(investment properties) CHF 1 000 14 961 0 0 14 961 0
Total other income CHF 1 000 7 957 857 3 848 3 846 4 872
Net income CHF 1 000 453 425 179 015 73 852 258 762 121 780 – 52.9 %
Net income excluding gains/losses
on real estate investments 3 CHF 1 000 215 214 64 786 50 135 115 305 98 251 – 14.8 %
Ebitda excluding gains/losses
on real estate investments CHF 1 000 256 145 60 360 64 390 125 718 127 691 1.6 %
Ebitda margin % 82.0 81.8 83.6 82.3 83.5
Total assets CHF 1 000 8 036 244 8 196 117 2.0 %
Shareholders’ equity CHF 1 000 4 450 220 4 406 424 – 1.0 %
Equity ratio % 55.4 53.8
Return on equity % 10.5 16.9 6.6 12.3 5.5
Interest-bearing debt CHF 1 000 2 596 136 2 807 772 8.2 %
Interest-bearing debt
in % of total assets % 32.3 34.3
Portfolio key figures
Number of investment properties Number 162 161
Carrying value properties CHF 1 000 7 259 441 7 279 741 0.3 %
Implied yield, gross 4 % 4.0 4.0 3.9 4.0 3.9
Implied yield, net4 % 3.4 3.5 3.4 3.5 3.4
Vacancy rate (CHF) 4, 5 % 3.5 3.4
Number of sites and
development properties Number 12 15
Carrying value sites and
development properties CHF 1 000 722 223 847 706 17.4 %
Headcount
Employees People 94 95
Full-time equivalents FTE 89 88
Per share figures
Earnings per share (EPS)6 CHF 9.89 3.90 1.61 5.64 2.66 – 52.9 %
EPS excluding gains/losses
on real estate investments 6 CHF 4.69 1.41 1.09 2.51 2.14 – 14.8 %
Distribution per share CHF 3.607 n.a. n.a. n.a. n.a.
Net asset value per share (NAV) 8 CHF 97.02 96.07 – 1.0 %
NAV per share before
deduction of deferred taxes 8 CHF 115.82 115.23 – 0.5 %
Share price end of period CHF 133.60 106.70 – 20.1 %
1 Change to previous year’s period 1 January to 30 June 2019 or to carrying value as of 31 December 2019 as applicable.
2 EPRA like-for-like change excluding COVID-19 impact is + 0.7 %.
3 See definition on pages 6, footnote 1.
4 For investment properties.
5 Equals the lost rental income in % of the potential rent, as per reporting date.
6 Based on average number of outstanding shares.
7 For the 2019 business year. Cash payment was made on 17 April 2020.
8 Based on number of outstanding shares.
PSP Swiss Property – Short report H1 2020 3
Real estate portfolio Shareholders’ equity
8.0 8.1
7.4
6.9 7.0
4.5 4.4
4.0 4.2
3.9
10.5 %
9.3 %
8.2 %
3.5 %
3.5 %
3.4%
7.6 %
6.6 %
5.5%
5.0 %
2016 2017 2018 2019 H1 2020 2016 2017 2018 2019 H1 2020
Portfolio value in CHF billion Shareholders’ equity in CHF billion
Vacancy rate in % Return on equity in %
Ebitda Net income components
256.1 238.2
242.2 241.7
83.5%
82.3%
131.9
80.8 %
81.5 %
82.0 %
79.2 143.5
125.7 127.7
215.2
177.7 176.2
23.5
115.3
98.3
2017 2018 2019 H1 2019 H1 2020 2017 2018 2019 H1 2019 H1 2020
Ebitda excl. gains/losses on Net income excl. gains/losses on
real estate investments in CHF million real estate investments in CHF million
Ebitda margin in % Contribution gains/losses on
real estate investments in CHF million
4 PSP Swiss Property – Short report H1 2020
H1 2020 report
Also in uncertain times like the current corona crisis,
the central location and high quality of our properties are
important success factors.
Business development tourism. However, we are only exposed to this to
a limited extent.
Despite the ongoing corona crisis, which broke
out in mid-March 2020, we are satisfied with the During the lockdown, many office workplaces were
course of business in the first half of 2020. temporarily transferred home quite successfully,
which reinforced the trend towards home-office.
During the reporting period, we generated a net in- In our opinion, however, this will not reduce the
come excluding gains/losses on real estate invest- overall demand for office space. There will rather
ments of CHF 98.3 million; this corresponds to a be a change in quality requirements. The demand
decrease of CHF 17.1 million or 14.8 % compared for office space will be characterised by generous,
to the previous year’s period (H1 2019: CHF 115.3 flexible and safe working environments in loca-
million). The decrease is however due to positive tions attractive to employees.
one-off effects in the previous year’s period (re-
lease of deferred taxes). The development of rental On the transaction market, we do not observe
income, operating and financing expenses con- any fundamental changes for properties in top
tributed positively to the half-years result 2020 locations, despite the corona crisis. Although
compared to the previous year’s period. the transaction market has slowed down for the
time being, the majority of real estate investors
The corona crisis and the accompanying lock- do not seem to want to reduce their acquisition
down also affected PSP Swiss Property and its targets. There is still a high demand for invest-
market environment, first of all shop and restau- ment in properties in good locations and with
rant tenants, the rental and the transaction market high cash flow visibility – especially with interest
as well as construction activity. In all likelihood, rates presumably staying low for the time being.
the corona crisis will also affect the rest of the So far, we have not seen any emergency sales of
business year. To date, we have managed the distressed assets, which is a sign of generally
challenges well. sound financing.
Our portfolio does not reflect the market as a
Market environment whole; rather, it reflects a stable sub-segment
with an above-average number of well-located
Until the outbreak of the corona crisis, business quality properties. We are thus well invested and
sentiment was positive in all our relevant regions positioned to overcome the current corona crisis
and market segments. However, the lockdown and relatively unscathed.
uncertainty in the economy brought the letting
market to a temporary standstill. Companies
seem to have shelved their expansion plans and
tenants who would be willing to move to a new
location prefer to observe the developments first.
Rental activities stagnated especially in those
sectors and regions which were hardest hit by the
lockdown – non-food retail, restaurants, hotels,
PSP Swiss Property – Short report H1 2020 5
Portfolio At the end of March 2020, we acquired a plot with
a commercial building (built in 1975/1991) at
At the end of June 2020, our real es- Gruben s trasse 6 in Zurich (district 2) for CHF
tate portfolio included 161 office and 33.5 million. We will replace the structure with a
modern new building offering a mixed use (around
commercial properties. In addition, 5 600 m2 of office and 5 900 m2 of commercial
there were 15 sites and development space). The investment total will amount to approxi
mately CHF 35 million. The new property will ben-
properties. The carrying value of the
efit from its good location: the bus and suburban
total portfolio was CHF 8.1 billion. railway stations Zurich Binz are located right next
to the building. We submitted the building appli-
Investment properties cation in mid-May 2020. Demolition work on the
The ongoing optimisation of our property portfolio existing building began in July 2020. The new
through renovation and modernisation as well as building should then be constructed between
new constructions are key success factors for our 2021 and 2023.
growth strategy. In doing so, we clearly focus on
customer needs with regard to the quality and During the reporting period, we reclassified the
flexibility of rental space as well as the growing properties located at Bärenplatz in Bern, at Gross-
trend towards sustainability. We plan to invest peterstrasse 18 in Basel and at Füsslis trasse 6 in
further CHF 32 million in our investment portfolio Zurich from the investment portfolio to develop-
until the end of 2020. ment projects.
Vacancy investment portfolio The properties at Bärenplatz in Bern, which we
At the end of June 2020, the vacancy rate stood at acquired in January 2019, are in a prime down-
3.4 % (end of 2019: 3.5 %). 0.6 percentage points town location in the immediate vicinity of the
of all vacancies are due to ongoing renovations. Federal Parliament building. We will renovate and
modernise the properties extensively until the end
Of the lease contracts maturing in 2020 (CHF 31.7 of 2021. The building application was submitted in
million), 92 % were already renewed at the end February 2020, and clearance and dismantling
of June 2020. As per year-end 2020, we expect a work continued until mid-2020. The investment
vacancy rate of around 3 %. total amounts to around CHF 14 million. The
ground floor and the first basement floor will be
The wault (weighted average unexpired lease used for restaurants (around 1 100 m2), with office
term) of the total portfolio was 4.1 years at the end space above (around 1 300 m2) and a number of
of June 2020. The wault of the ten largest tenants, small apartments (around 900 m2) on the top levels
contributing around 30 % of the rental income, of the building. 30 % of the space (restaurant area)
was 5.8 years. has already been pre-let.
Sites and development projects The office building at Grosspeterstrasse 18 in Basel
In the coming years, we plan to invest around no longer meets today’s requirements for office
CHF 271 million in our sites and development workplaces. Based on the approved development
proje cts. Already in Q1 2020, we revised our in- plan, it will be replaced by a new building (project
vestment plan for the current business year and “Baufeld C”). We plan to develop office space for
for 2021 due to the uncertainties regarding the the entire building with around 5 600 m2 of renta-
future economic development. We can adhere to ble space; 50 % of this space has already been
this: CHF 90 million are still planned for develop- pre-let to Swisscom. The investment total amounts
ment projects by the end of 2020; CHF 117 million to around CHF 34 million. The planning applica-
in 2021. tion was submitted in February 2020. However,
6 PSP Swiss Property – Short report H1 2020
there was an intermediate freeze period in the Consolidated half-year results
canton of Basel-Stadt, which meant that no con- (January to June 2020)
struction projects could be published. This resulted
in a small planning delay. Construction approval is In the reporting period, net income excluding
still pending. We assume, however, that construc- gains/losses on real estate investments1 was CHF
tion can start in the autumn of 2020 and take 98.3 million; this corresponds to a decrease of CHF
around two and a half years. 17.1 million or 14.8 % compared to the previous
year’s period (H1 2019: CHF 115.3 million). The
The commercial property at Füsslistrasse 6 in decrease is due to positive one-off effects in the
Zurich is in a prime city-centre location; however, previous year’s period – the reduction of income
building technology and use are out-of-date. We are tax rates in the cantons of Basel-Stadt and Geneva
currently evaluating possible renewal alternatives. resulted in a release of deferred taxes totalling
CHF 58.0 million, of which CHF 21.6 million had a
We are very pleased with the progress of the new positive impact on net income excluding gains/
building “ATMOS” in Zurich West. One year before losses on real estate investments.
completion (beginning of 2021) “ATMOS” was
already fully let. “ATMOS” will be a modern office Rental income increased by CHF 1.7 million to
building with approximately 24 000 m2 of rentable CHF 146.7 million (H1 2019: CHF 145.0 million).
space. The investment total is approximately This is despite the fact that in Q2 2020, rent reliefs
CHF 130 million. Despite temporary restrictions of CHF 2.3 million were recorded in connection
due to the corona crisis, construction is on course. with the lockdown. Operating expenses decreased
by CHF 1.7 million to CHF 25.9 million (H1 2019:
A number of cantons fully or partially prohibited CHF 27.6 million). Financial expenses declined by
work on construction sites temporarily during the CHF 3.0 million to CHF 7.1 million (H1 2019: CHF
lockdown. As a result, there were delays at our 10.0 million).
projects “Residenza Parco Lago” in Paradiso/
Lugano and “Rue du Marché” in Geneva. Earnings per share excluding gains/losses on real
estate investments, which is the basis for the divi
Valuation of properties dend distribution, amounted to CHF 2.14 in the
The valuation of the properties by the independent first half of 2020 (H1 2019: CHF 2.51).
appraiser resulted in an appreciation of CHF 31.1
million. Thereof, CHF 26.4 million were related to Net income reached CHF 121.8 million (H1 2019:
the investment portfolio and CHF 4.7 million to CHF 258.8 million). One-off effects in H1 2019
the sites and developments projects. also explain the decline in net income by CHF
137.0 million or 52.9 %. In addition to the effects
At mid-2020, the portfolio’s weighted average already mentioned, the portfolio appreciation in
nominal discount rate stood at 3.29 % (year-end the reporting period was lower at CHF 31.1 million
2019: 3.32 %). The appreciation resulted mainly compared to H1 2019 (CHF 124.7 million). Further-
from the lower discount rate as well as from vari- more, in the previous year’s period, income of
ous lettings and the reduction in vacancies. In CHF 15.0 million had resulted from the sale of
contrast, more cautious income forecasts in con- two investment properties. Earnings per share
nection with COVID-19 had the effect of reducing amounted to CHF 2.66 (H1 2019: CHF 5.64).
the value in individual cases.
At the end of June 2020, net asset value (NAV) per
share was CHF 96.07; the dividend of CHF 3.60
per share paid on 17 April 2020 must be consid-
ered in this regard (end of 2019: CHF 97.02). NAV
before deducting deferred taxes amounted to
CHF 115.23 (end of 2019: CHF 115.82).
1 “Net income excl. gains/losses on real estate investments” corresponds to the net income excl. net changes in fair value of the real estate
investments, net income on sales of investment properties and all of the related taxes. Income from the sale of properties which were developed
by the Company itself is, however, included in the “Net income excl. gains/losses on real estate investments”.
PSP Swiss Property – Short report H1 2020 7
Capital structure and liquidity measures were relaxed gradually from the end of
April, many regulations remain onerous. How long
With total equity of CHF 4.406 billion at the end it will take to return to normality is impossible to
of June 2020 – corresponding to an equity ratio of predict from today’s perspective. This will, to a
53.8 % (end of 2019: CHF 4.450 billion or 55.4 %) – large degree, depend on how the spread of the
the equity base remains strong. Interest-bearing corona virus will be contained and how badly and
debt amounted to CHF 2.808 billion, correspond- lasting the lockdown has damaged the economy.
ing to 34.3 % of total assets (end of 2019: CHF
2.596 billion or 32.3 %). At the end of June 2020, Measures taken by PSP Swiss Property
the average cost of debt was low at 0.52 % (end of For us, our employees’ health is always the top
2019: 0.73 %). The average fixed-interest period priority. At the same time, we make sure that
was 5.5 years (end of 2019: 4.4 years). business operations as well as communication
and interaction with our tenants, business part-
Our current unused credit facilities total CHF 900 ners and public authorities continue as smoothly
million; thereof, CHF 730 million are committed as possible.
credit lines. In addition, we have cash or cash
equivalents of around CHF 20 million. These We implemented and continue to implement all
financing sources are sufficient, in particular, for directives and recommendations issued by the
our ongoing business activities, the refinancing of Federal Council and the Federal Office of Public
bonds totalling CHF 250 million maturing in 2021 Health, especially the regulations regarding hy-
(there are no further maturing bonds or credit giene and social distancing. We are well prepared –
lines in the current business year) as well as the also thanks to the use of our IT resources, which
planned capital expenditures for our development have so far proved to be very effective – should
projects and investment properties. stricter measures such as home-office and restric-
tions on business travel etc. become necessary
PSP Swiss Property has ratings from again. Thanks to the precautions taken and the
two international rating agencies: a dedication of our employees, we can offer a safe
working environment and ensure business conti-
Senior Unsecured Rating A- (outlook nuity. In the meantime, all employees are back in
stable) from Fitch and an A3 Issuer their offices.
Rating (outlook stable) from Moody’s.
Situation with affected tenants
Thanks to our broad portfolio diversification and
our focus on office use, our exposure in the sec-
Remarks with regard to the corona crisis tors affected by ordered business closures is
manageable (21 % of total rental income). More
Lockdown over, the impact on these tenants varies widely.
The measures taken by the Federal Council in mid-
March 2020 to combat the corona virus had a We have approximately 2 300 tenants. Around
severe impact on the population and the economy – 220 tenants were directly affected by the ordered
despite immediate measures to support directly closure of their businesses. Until the end of June
affected individuals and companies. This included, 2020, about 350 tenants had applied for a deferral
in particular, the prohibition of private and public of payment or a rent adjustment. As an emergency
gatherings, the closure of shops and restaurants measure, we have granted payment extensions, if
as well as entertainment and leisure facilities, the this was appropriate. The tenants affected by the
introduction of border controls and entry bans as ordered closures also benefit from the extension
well as recommendations with regard to home- of the deadline granted by the Federal Council’s
office, hygiene and social distancing. While these emergency ordinance “COVID-VO Rent and Lease”8 PSP Swiss Property – Short report H1 2020
in the event of payment arrears for rents due The introduction of a corresponding regulation (for
between 13 March and 31 May 2020. However, the monthly rents up to CHF 15 000) would result in
granted payment deferrals and prescribed exten- total estimated rent reliefs of additional approxi-
sions of time limits are not rent waivers. The rents mately CHF 0.7 million for PSP Swiss Property.
affected by the ordered closure of the business
are and remain owed. However, the granted pay-
ment deferrals and prescribed extensions of time Sustainability
limits have the effect that the tenants do not fall
into arrears and a threat of termination due to late In the 2019 Annual Report, we have set the defini-
payment must be delayed by 90 days. Independent tion of the new CO2 target and the associated CO2
of this, we process and answer all requests from reduction path until 2050 as focus for the current
tenants individually. business year. We have started the first analyses
and evaluations in cooperation with an external
In Q2 respectively in the first half of 2020, rent partner; this will continue going forward.
reliefs in the amount of CHF 2.3 million were rec-
ognised in the income statement. As at 30 June
2020, outstanding lockdown-related rent receiv- Subsequent events
ables amounted to CHF 5.2 million.
With effect from 1 August 2020, we carried out an
Political initiative concerning asset swap with Zurich Insurance Group. The com-
commercial rents mercial building at Seilerstrasse 8 in Bern was
On 8 June 2020, Switzerland’s Council of States acquired for CHF 23.7 million from Zurich Insurance
(as before the National Council) approved a motion Group (we already own the immediately adjacent
calling for the retroactive reduction of commercial property at Seilerstrasse 8a). As a counter trans-
rents by 60 % for tenants who had to close their action, the development property at Zurlinden-
business due to the Federal Council’s emergency strasse 134 in Zurich was sold for CHF 15.0 million;
ordinance. The Federal Council now has to formu- resulting in a gain of CHF 7.6 million.
late a corresponding law, which presumably will
take at least until mid-September 2020. Conse- There were no further material subsequent events.
quently, the National Council and the Council of
States will be able to discuss and vote on the
draft law during their December session at the
earliest. The planned legislation would apply to
businesses with monthly rents of up to CHF
20 000; for monthly rents of CHF 15 000 or more,
both landlords and tenants would have the oppor-
tunity to find alternative arrangements. The legis-
lation must also ensure that agreements between
landlords and tenants, which were concluded be-
fore the new law takes effect, remain valid. This
means that further consensual agreements will
not be blocked but more difficult to achieve. A
possible referendum against the law might even
delay a final decision for several more months.PSP Swiss Property – Short report H1 2020 9
Outlook Consequently, it is too early for a final assessment
of the impact the corona crisis will have on our busi-
Our focus remains unchanged: we ness activities. However, we are well prepared for
modernise selected properties, de- the times ahead for a number of reasons: we have
a high-quality portfolio with a low vacancy rate.
velop our projects and concentrate The main use is office space and the tenant base
on our letting activities. We will only is broadly diversified. The development proje cts,
most of which are already well let, will generate
consider acquisitions if they allow
further growth. We also have a solid equity base
for added value in the long term. and sufficient financing sources.
An outlook of the Swiss economy is more difficult For the business year 2020, we confirm an expect-
than ever. Most forecasts predict a decline in GDP ed ebitda excluding gains/losses on real estate
by around 6 % for 2020. A return to growth rates investments of around CHF 260 million (2019:
is expected in Q3 or Q4 2020. However, GDP is CHF 256.1 million).
unlikely to reach pre-corona levels before 2022.
With regard to the vacancies, we now expect a
It is just as difficult to predict the impact on the lower rate of around 3 % at year-end 2020 (previ-
property sector. More than ever, we must differ- ously: around 3.5 %; end of June 2020: 3.4 %).
entiate between the various sub-segments. The
situation is different for office space and other
commercial properties and it varies significantly The Executive Board, August 2020
depending on the quality of their location. We
expect demand for modern office space in A-loca-
tions to remain stable in the coming months; so
far, quoted rents for these offices are comparable
to those before the outbreak of the crisis. On the
other hand, the market for older office buildings
in B- and C-locations as well as non-food retail
space, which had been challenging even before
the crisis, will remain difficult for the time being.10 PSP Swiss Property – Short report H1 2020
Portfolio summary
6
C
347
A
5
D
E
2
B
1
Areas 3 Sites 12 Projects
Project pipeline
1 Paradiso, “Residenza Parco Lago” CHF 80 million
2 Geneva, “Rue du Marché” CHF 35 million
3 Zurich, “ATMOS” CHF 130 million
CHF 55 million (stage 1)
4 Zurich, “Bahnhofquai/-platz”
CHF 45 million (stage 2)
5 Bern, “Bärenplatz” CHF 14 million
6 Basel, “Baufeld C” CHF 34 million
7 Zurich, “Grubenstrasse” CHF 35 million
2017 2018 2019 2020 2021 2022 2023PSP Swiss Property – Short report H1 2020 11
Portfolio value by area
10% Sites and development properties
5% Other locations
5% Lausanne
6% Bern 53% Zurich
9% Basel
11% Geneva
Portfolio key figures
A Zurich area B Geneva area
Portfolio value CHF 4.3 billion Portfolio value CHF 0.9 billion
Rental income CHF 81.8 million Rental income CHF 15.9 million
Implied yield, net 3.3 % Implied yield, net 3.1 %
Vacancy rate 2.2 % Vacancy rate 4.3 %
Rentable area 508 466 m² Rentable area 75 383 m²
C Basel area D Bern area
Portfolio value CHF 0.7 billion Portfolio value CHF 0.5 billion
Rental income CHF 14.9 million Rental income CHF 9.7 million
Implied yield, net 3.7 % Implied yield, net 3.5 %
Vacancy rate 5.0 % Vacancy rate 3.1 %
Rentable area 109 671 m² Rentable area 91 322 m²
E Lausanne area Other locations
Portfolio value CHF 0.4 billion Portfolio value CHF 0.4 billion
Rental income CHF 9.2 million Rental income CHF 10.0 million
Implied yield, net 3.6 % Implied yield, net 4.0 %
Vacancy rate 8.0 % Vacancy rate 5.3 %
Rentable area 82 835 m² Rentable area 85 289 m²12 PSP Swiss Property – Short report H1 2020
Rent by use
11% Other
4% Gastronomy
5% Parking
64% Office
16% Retail
Rent by type of tenant
6% Other
7% Government
21% Services
7% Gastronomy
9% Health care 19% Retail
10% Technology
12% Financial services
11% Telecommunication
Rent by largest tenants
9% Swisscom
4% Google
2% Edmond de Rothschild
2% Schweizer Post
2% Bär & Karrer
72% Other 8% Next five largest tenantsPSP Swiss Property – Short report H1 2020 13 Hottingerstrasse 10–12 in Zurich The building complex at the entrance of Hottingerstrasse consists of two connected properties: on the one hand, a historical commercial property which was built at the beginning of the 20 th century and on the other hand, Hottingerstrasse 12, a more modern construction which was erected in 1940. The building received a lot of attention at the end of the 1960s, when the city’s telephone exchange which was located there, was ravaged by fire. Later, both buildings were meticulously renovated inside and out.
14 PSP Swiss Property – Short report H1 2020
Richtistrasse 11
in Wallisellen
This modern office building is part of the “Richtipark”
ensemble which consists of five large commercial properties.
The buildings have state-of-the-art infrastructure and are
well located for companies that require excellent connections
to the road network as well as public transport.
But the “Richtipark” also has a lot to offer with regard to local
amenities and recreation: inviting courtyards and outside
areas provide a pleasant environment for relaxation, and in
the immediate vicinity, the “Glattzentrum” shopping mall
offers a wide range of stores.PSP Swiss Property – Short report H1 2020 15
16 PSP Swiss Property – Short report H1 2020
Consolidated statement of profit
or loss (January to June)
(in CHF 1 000) H1 2019 H1 2020
Rental income 144 985 146 689
Net changes in fair value of real estate investments 124 688 31 131
Income from property sales (inventories) 7 705 4 673
Expenses from sold properties (inventories) – 4 899 – 3 339
Income from other property sales 14 961 0
Income from investments in associated companies –2 4
Capitalised own services 3 400 1 657
Other income 448 3 211
Total operating income 291 287 184 026
Real estate operating expenses – 5 910 – 4 974
Real estate maintenance and renovation expenses – 8 115 – 7 227
Personnel expenses – 9 025 – 9 764
Fees to subcontractors – 32 – 16
General and administrative expenses – 3 891 – 3 223
Depreciation – 614 – 658
Total operating expenses – 27 585 – 25 863
Operating profit (ebit) 263 702 158 164
Financial income 180 159
Financial expenses – 10 226 – 7 216
Profit before income taxes 253 656 151 108
Income taxes 5 1061 – 29 328
Net income attributable to shareholders of PSP Swiss Property Ltd 258 762 121 780
Earnings per share in CHF (basic and diluted) 5.64 2.66
1 Incl. release of deferred taxes due to changes in tax rate of CHF 58.0 million.
Consolidated statement of
comprehensive income
(January to June)
(in CHF 1 000) H1 2019 H1 2020
Net income attributable to shareholders of PSP Swiss Property Ltd 258 762 121 780
Items that may be reclassified subsequently to profit or loss:
– Changes in interest rate hedging – 4 636 564
– Attributable taxes 1 536 – 76
Items that may not be reclassified subsequently to profit or loss:
– Changes in pension schemes – 1 119 – 730
– Attributable taxes 246 146
Other comprehensive income – 3 974 – 96
Comprehensive income attributable to shareholders of
PSP Swiss Property Ltd 254 789 121 684PSP Swiss Property – Short report H1 2020 17 Consolidated statement of financial position (in CHF 1 000) 31 December 2019 30 June 2020 Cash and cash equivalents 19 673 12 969 Accounts receivable 6 775 11 378 Contract assets 4 928 9 231 Deferrals 6 571 9 471 Current tax assets 704 10 834 Derivative financial instruments 79 0 Sites and development properties for sale 71 533 82 916 Total current assets 110 263 136 798 Tangible assets 229 226 Intangible assets 1 820 1 576 Derivative financial instruments 1 794 1 874 Accounts receivable 7 128 6 365 Financial investments 9 9 Investments in associated companies 72 76 Sites and development properties 650 690 764 790 Own-used properties 36 254 36 271 Investment properties 7 223 187 7 243 471 Deferred tax assets 4 799 4 662 Total non-current assets 7 925 982 8 059 319 Total assets 8 036 244 8 196 117 Accounts payable 22 635 16 346 Deferrals 55 912 46 610 Current tax liabilities 11 621 2 505 Financial liabilities 350 000 430 000 Bonds and notes 199 987 170 268 Lease liabilities 553 468 Derivative financial instruments 1 315 2 128 Total current liabilities 642 024 668 324 Financial liabilities 450 000 410 000 Bonds and notes 1 579 662 1 781 294 Lease liabilities 15 934 15 743 Derivative financial instruments 18 017 16 640 Pension liabilities 13 229 14 208 Deferred tax liabilities 867 159 883 484 Total non-current liabilities 2 944 001 3 121 369 Share capital 4 587 4 587 Capital reserves 503 468 503 113 Retained earnings 3 953 790 3 910 445 Revaluation reserves – 11 625 – 11 720 Total shareholders’ equity 4 450 220 4 406 424 Total liabilities and shareholders’ equity 8 036 244 8 196 117
18 PSP Swiss Property – Short report H1 2020
Contacts and important dates
Main company addresses Agenda
PSP Swiss Property Ltd Publication Q1 – Q3 2020
Kolinplatz 2 10 November 2020
CH-6300 Zug
Phone +41 (0)41 728 04 04 Publication FY 2020
Fax +41 (0)41 728 04 09 23 February 2021
PSP Group Services Ltd Annual General Meeting 2021
Seestrasse 353, P.O. Box 31 March 2021
CH-8038 Zurich
Phone +41 (0)44 625 59 00 Publication Q1 2021
Fax +41 (0)44 625 58 25 30 April 2021
Executive Board
Giacomo Balzarini
Chief Executive Officer
Reto Grunder
Chief Investment Officer
Martin Heggli
Chief Operating Officer
Office of the Board of Directors
Ronald Ruepp
Secretary of the Board of Directors
Phone +41 (0)41 728 04 04
E-Mail ronald.ruepp@psp.info
Investor Relations
Vasco Cecchini
Chief Communications Officer
Phone +41 (0)44 625 57 23
E-mail vasco.cecchini@psp.infoPSP Swiss Property – Short report H1 2020 19 Customer care Front units Thanks to its broad regional presence, PSP Swiss Property has detailed knowledge of the local real estate markets. The well developed branch network allows efficient management of all properties. Zurich Management: Thomas Bracher PSP Management Ltd Seestrasse 353, P.O. Box CH-8038 Zurich Phone +41 (0)44 625 57 57 Fax +41 (0)44 625 58 58 Geneva Management: Peter Cloet PSP Management Ltd Rue des Bains 35, P.O. Box 181 CH-1211 Geneva 8 Phone +41 (0)22 332 25 00 Fax +41 (0)22 332 25 01 Olten Management: Fabian Laube PSP Management Ltd Baslerstrasse 44 CH-4600 Olten Phone +41 (0)62 919 90 00 Fax +41 (0)62 919 90 01
PSP Swiss Property Ltd
Kolinplatz 2
CH-6300 Zug
www.psp.info
info@psp.info
© PSP Swiss Property, 17 August 2020
Stock exchange, trading symbol
SIX Swiss Exchange: Symbol PSPN, Security number 1829415, ISIN CH0018294154
Reuters: PSPZn.S
Bloomberg: PSPN SW
www.psp.info
Further publications and information are available on www.psp.info.
This Short report is an extract from the Half-year report H1 2020.
The Half-year report H1 2020 is available under www.psp.info/reports.You can also read
